Windows 7 not booting properly get an empty blue screen

Hello everyone, gonna try and explain my problem as best I can and as detailed as I can. I have a 1TB hard drive that originally had a small windows XP C: partition (about 19.5GB) installed with most of the other space set to a E: partition for storage. Later on I formatted the remaining space (about 130 GB) as partition G: and installed Windows 7 Ultimate on it. No system reserved partition was installed and everything ran smoothly with my dual boot pc. Anyways I tried extending my Win7Ult G: partition recently using minitool partition wizard while logged into XP, first by shrinking my E: partition by about 22GB and extending G: with that space. It would allow me to use all but 35MB of unallocated space to extend the G: partition. I applied the changes and it said it successfully completed the changes.

Now here is were the problems began. I restarted and went to Win7Ult and when it goes to the login screen it won't allow any typing. I tried my keyboard and another wired keyboard and nothing. Tried the option on the bottom left for the on-screen keyboard and it won't startup. Only the mouse works. Booting to safe mode does the same thing too. I used offline NT password and registry editor to remove the password. When it would bootup after removing the password it would say starting and then preparing your desktop for about 2 minutes which was new to me and then it would show me a blank blue screen with just the mouse cursor and that's it. I can move the mouse but like I said there is nothing to interact with. Keyboard doesn't work so can't ctrl alt delete and start explorer.exe or anything. Booted XP and browsed through the windows 7 G: partition with no problems, all my files are still there and I imaged the G: partition using macrium reflect just in case. Tried f8 at the os selection screen and recovery options and nothing. Inserted the windows 7 disk and tried repairing and nothing. I did notice that when I was on the recovery options screen it would show that my windows 7 install was on the E: partition for some reason when E: is my storage partition and G: is the win7 partition.

Sorry for the long post but I figured I'd post as much as I could right now to give a idea of the system environment and the problem at hand. I've tried a bunch of things with no solution in sight. Even restoring an image from last year when my system ran perfectly doesn't fix anything since windows 7 still fails to let me type anything or use on-screen keyboard to login.